Twitter is a public company now, not a high-growth company. It's quite fair to criticize Twitter, or Zynga, for selling to the public at an inflated price based on hype -- after which their respective stock prices have languished. Keep in mind that there has been plenty of criticism of twitter from the very beginning, all while they went from being worth zero to $20 billion. The point is, criticizing a high-growth, privately-backed company like SoundCloud for losing money only makes sense if you want to criticize the entire model of venture-backed entrepreneurship.